Ladies and Gentleman, look after your money. It does not grow on a tree and if you don’t respect money or the process by which you earn it enough it will come back to haunt you in the future. NBA players are no exception to this. They may earn millions of dollars of their career (around $24.7 million on average), but the average career is only around 5 years. The best players can play for 13-15 years maybe but the majority are retired by the age of the 35. That still leaves up to 30 additional years to fill before these athletes get to the age where the average American retires.
It is so important to look after your money and make good decisions. Take Baron Davis for example; searching his name on Google brings up a huge amount of links to articles describing his latest investment. He was smart with his money, he hired a good financial advisor and now the $147 million he made during his career will earn him more than through the next few decades.
One player who wasn’t careful was Darius Miles who last played for the Memphis Grizzlies in 2009. He made over $66 million in his career but lost it all on shady business deals and now he’s declared bankruptcy.
In an exclusive article in the Players Tribune, Darius Miles shares his story about the NBA and his career, co-edited by his former teammate and friend, Quentin Richardson.
“When you’re young, you think the money is gonna last forever. I don’t care how street smart you are, or who you got in your corner, when you go from not having anything to making millions of dollars at 18, 19 years old, you’re not going to be prepared for it.
If you read the headlines about me now, it’s all about me going bankrupt. People ask me, “Man, how can you lose all that money?”
That part is easy to explain. You already heard that story a million times, with a million players. The cliche is that guys go broke buying Ferraris or whatever. Listen, it takes a long time to go broke buying Ferraris. What makes you go broke are shady business deals.
They’ll make the money disappear quick.”
He lost a lot of money because of the bad investments.
“Miles listed a $282,041 debt to the Internal Revenue Service. He also said that most of his debts aren’t consumer debts, but business debts. Miles owns a single-family home in Belleville with a value of $241,000. His car is a 2011 Chevrolet Camaro, valued at $20,000.
In addition to his Belleville home, he listed 12 other properties he owns, all in East St. Louis. He has a Deutsche Bank account with $49,000 and his son’s college fund with $84,900. He also listed ownership of various collectibles with unknown value, including trophies and signed jerseys, and jewelry.
Miles listed a $20,000 child support debt in his bankruptcy. He lost more than $100,000 in 2008 in a California real estate deal. Another real estate deal — with fellow investors former NFL Rams player Marshall Faulk and rapper Nelly — was mired in lawsuits over a Laclede’s Landing property. Newspaper stories wrote about Miles rewarding himself with diamond jewelry.”
Miles had to auction off a lot of his stuff including a signed LeBron James jersey that went for $1,500, a signed shoe from Dirk Nowitzki that went for $375 and even his toaster that went for $2.
- LeBron James signed jersey ($1,500)
- Larry Bird signed jersey ($100)
- AR15 firearm ($500)
- Beretta Cx4 Storm gun ($400)
- Self-contained karaoke machine ($75)
- Dirk Nowitzki signed shoe ($375)
- Lamar Odom signed shoe ($225)
- 5 VHS players (total of $21.50)
- Toaster ($2.00)
There was other stuff as well, so Miles got $12,780 from the sale.
Take heed everyone.